Recently, Hikvision released its semi-annual report for 2023.

According to the report, Hikvision achieved revenue of 37.571 billion yuan in the first half of the year, an increase of 0.84% over the same period last year; Net profit attributable to shareholders of listed companies was 5.338 billion yuan, down 7.31% from the same period last year.

Source: Hikvision semi-annual Report 2023

In fact, from the middle of 2022 and the whole year, Hikvision began to increase revenue and not increase profits. At present, Hikvision is still in a state of increasing income and not increasing profits in the first half of 2023.

However, it is worth noting that Hikvision’s performance in the second quarter showed signs of improvement. From a quarterly point of view, although the company’s revenue and net profit declined in the first quarter, the revenue and net profit in the second quarter increased by 3.06% and 1.49% year-on-year.

In terms of revenue, during the reporting period, the revenue of Hikvision’s main business products and services was 28.634 billion yuan, which was the largest source of revenue of the company, accounting for 76.21% of the company’s revenue. However, the main business products showed a declining trend in the overall proportion, down 2.49% year-on-year.

PCD3.M6340

On the other hand, Hikvision’s innovative business is developing well, becoming a strong engine for long-term sustainable development of the company. During the reporting period, the overall revenue of the company’s innovation business was 8.188 billion yuan, an increase of 16.85% year-on-year, accounting for 21.80% of the company’s revenue.

Among them, the robot business, smart home business and automotive electronics business in the innovation business all achieved double-digit growth in revenue. Fluorite Network, as the first subsidiary of Hikvision successfully spun off and listed, achieved an operating income of 2.285 billion yuan in the first half of 2023, an increase of 9.25%. Net profit of 259 million yuan, an increase of 70.3%; The application for Hikang Robot spin-off listing has been accepted by the Shenzhen Stock Exchange, and the spin-off listing of innovative business subsidiaries has been steadily and orderly promoted.

In the first half of 2023, the global economy continues to fluctuate and the trade environment changes, which brings continuous challenges to Hikvision’s business; The domestic economy shows an overall recovery, zigzagging upward trend, and demand is still gradually recovering. In a complex and changing environment, the company maintains its concentration and firm confidence, always focuses on the growth of its own capabilities, and continues to promote the steady development of its business.

Hikvision said that the company focused on the main business channel, strategy-oriented, and continuously strengthened technology reserves to consolidate its overall strength and the foundation for long-term sustainable development. During the reporting period, Hikvision invested 5.285 billion yuan in research and development, an increase of 13.06%.

In the future, the company will continue to maintain technology research and development investment, continue to maintain the ability to commercialize technology and products, continue to build and improve the differentiation advantage, maintain the continuous leadership of products and solutions, and escort the steady development of the company in the field of intelligent Internet of Things.